00SENATE BILL NO. 72                                                                                                      
01 "An Act relating to civil liability of certain nonprofit corporations and of                                            
02 volunteers of certain nonprofit corporations; and providing for an effective date."                                     
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 09.65 is amended by adding a new section to read:                                                   
05     Sec. 09.65.168.  CIVIL LIABILITY OF CERTAIN VOLUNTEERS AND                                                         
06 CORPORATIONS.  (a)  A person working as a volunteer for a nonprofit corporation                                         
07 is not liable for civil damages resulting from an act or omission that occurs while the                                 
08 person is acting in good faith and within the scope of the person's functions and duties                                
09 as a volunteer for the nonprofit corporation if the nonprofit corporation                                               
10   (1)  is insured as required under (b) of this section and the insurance                                              
11 covers an act or omission of the volunteer; or                                                                          
12   (2)  had administrative operating costs of less than $100,000 in the                                                 
13 previous calendar year and is exempt from taxation under 26 U.S.C. 501(c)(3) (Internal                                  
14 Revenue Code of 1954).                                                                                                  

01  (b)  A nonprofit corporation qualifies for immunity under (a)(1) of this section                                      
02 if the corporation purchases and maintains a policy of liability insurance with a limit                                 
03 of coverage of at least $200,000 per individual claim and $500,000 for all claims                                       
04 arising from the same occurrence.                                                                                       
05  (c)  In an action against a nonprofit corporation to recover damages resulting                                        
06 from an act or omission of a volunteer of the nonprofit corporation, if the nonprofit                                   
07 corporation is insured as described under (b) of this section, the court or jury may not                                
08 award damages in an amount that exceeds the limit of coverage under the nonprofit                                       
09 corporation's policy of liability insurance.                                                                            
10     (d)  This section does not preclude liability for civil damages as a result of                                     
11 gross negligence, recklessness, or intentional misconduct.                                                              
12     (e)  Except as provided under (c) of this section, this section does not affect the                                
13 liability of a nonprofit corporation.                                                                                   
14     (f)  In this section,                                                                                              
15   (1)  "administrative operating costs" do not include money awarded as                                                
16 a grant;                                                                                                                
17   (2)  "nonprofit corporation" means a corporation                                                                     
18         (A)  incorporated under AS 10.20; or                                                                          
19         (B)  exempt from taxation under 26 U.S.C. 501(c)(3) (Internal                                                 
20 Revenue Code of 1954);                                                                                                  
21          (3)  "volunteer" means a person who does not receive financial                                                
22 consideration, except for reimbursement for expenses actually incurred, for services                                    
23 performed for a nonprofit corporation.                                                                                  
24    * Sec. 2.  This Act applies to civil actions that accrue on or after the effective date of this                      
25 Act.                                                                                                                    
26    * Sec. 3.  This Act takes effect July 1, 1995.